Why Do Most Day Traders Fail?

Discussion in 'Trading' started by DarkerthanDarc, May 20, 2025 at 1:45 AM.

  1. It's nearly impossible to exactly predict the future out.

    But a wise trader can understand the daily intraday movement expectation. And nail that movement with leverage/options for a much higher reward:risk ratio.

    Precision and leverage on the S&P day is about as much of the Holy Grail that exists out there to truly defeat the market and deliver remarkable gains
     
    SimpleMeLike likes this.
  2. Sekiyo

    Sekiyo

    It’s been said before, but it bears repeating because so few truly live it: success isn’t just about effort—it’s about ruthless prioritization.

    Ranking isn’t just a tool; it’s the foundation of exceptional outcomes. Every decision, every hour, every resource you invest should be filtered through one question: Is this the best use of my energy right now? Not “good.” Not “productive.” Not even “urgent.” The best.

    The world is full of “good” opportunities, but greatness demands you ignore them. Why? Because “good” is the enemy of “extraordinary.” Chasing every shiny object or socially validated path drains your focus from the rare, needle-moving bets that actually matter. Suboptimal choices aren’t just inefficient—they’re a silent tax on your potential.

    Which brings us to the quiet power of sitting. Contrary to hustle culture’s obsession with motion, mastery often looks like stillness. Warren Buffett’s 5/25 rule applies here: List 25 priorities, circle the top five, and avoid the rest at all costs. The 80/20 principle echoes this—80% of results flow from 20% of actions. But here’s the twist: sitting—choosing not to act—is how you protect that critical 20%.

    Stop conflating activity with progress. Let “good enough” opportunities pass. Reserve your energy for what’s truly transformative. Because in a world drowning in distractions, the ultimate advantage is knowing what to ignore.

    Billions are, over time, flowing into (and out) of a few select vehicles while you're scalping yourself to death on a tick by tick basis.

    The greatest traders size the greatest moves.

    upload_2025-5-22_2-18-8.jpeg

    Mic drop.
     
    Last edited: May 21, 2025 at 8:38 PM
    sridhga likes this.
  3. tony.m

    tony.m

    You mentored @padutrader ?
     
  4. deaddog

    deaddog

    The general feeling seems to be that if you know how to trade you keep it to your self. Why would anyone share what they know.

    I believe that once you learn how to trade, there is a certain satisfaction in sharing your knowledge. A win/win situation. Every one feels good.
     
  5. Hello LionsWarthogsMillions,

    I Agree with You!! This is the best thing you ever wrote in your life.
     
  6. I had to read that twice, coz apparently it's the best thing you've ever written in your Life. It's all downhill from here Mate.
     
  7. PPC

    PPC


    I’m sorry, but it is a myth to believe that using leverage will lead to a higher reward/risk ratio.

    Reward-to-Risk Ratio = (Exit Price−Entry Price) / (Entry Price−Stop Price)

    Therefore, leverage won’t lead to a higher R/R as you wrote. The only thing leverage does is increase the position size and the amount you risk to gain or lose, but the R/R remains the same.

    Leverage is not the holy grail at all. I’d say that, at least for me, the closest thing to the holy grail is trading methods/strategies that truly fit you, i.e., your beliefs, personality, lifestyle, and most of all, are enjoyable to trade.